4 ms·

Tesla stock up 15% on the news, probably.

• mtmickush 8mo ago
  2.25% so far today. How does this seem to always happen?
  • rvnx 8mo ago
    When you are investor and broadly choose to buy US companies (which is what most people do), you get Tesla in the list (e.g. QQQ) as part of the package, and this pushes price higher, no matter if you believe in Tesla specifically or not. In addition, existing investors are very very deep into Tesla now, and don't want to lose. The sandcastle is quite fragile so one of the best strategy for everyone (funds and Musk) is to keep buying more, no matter if the news are bad or not. It works, until other people disagree with you, but so far, nobody is interested into losing that game.
    • Marsymars 8mo ago
      > When you are investor and broadly choose to buy US companies (which is what most people do), you get Tesla in the list (e.g. QQQ) as part of the package, and this pushes price higher, no matter if you believe in Tesla specifically or not. I actually short Tesla just enough to offset my long positions that come as part of my regular ETFs.
      • myvoiceismypass 8mo ago
        Can you share more specifics on how you go about doing that? Do you do that for your long non-ETF positions too?
        • Marsymars 8mo ago
          > Can you share more specifics on how you go about doing that? I buy multi-year put options, there's some fuzziness around the appropriate strike price and number of options for a given long position, but effectively I'm paying the option premium to limit my downside risk. > Do you do that for your long non-ETF positions too? No, my non-ETF positions are negligible.
  • rootusrootus 8mo ago
    At the risk of exposing my obvious naivety, my guess is that TSLA is a proxy purchase for many people for SpaceX. I won't be surprised if SpaceX becoming public causes TSLA to tank. Or maybe it's all because of index funds. What bothers me most about that is that if TSLA tanks, so does a big chunk of the S&P 500 and therefore my 401(k). Hrmph.
    • HerbManic 8mo ago
      I suspect you may be right. My guess is that Telsa will be bought out by SpaceX so they can cover up loses from various parts of the company, namely X and xAI. Like security backed bonds but on a company scale. With SpaceX having loads of government contracts, they become more immune to failure via odds of a bailout.
    • jjav 8mo ago
      I suspect Musk will negotiate with Musk to convince SpaceX to buy Tesla for more than its market value to avoid the otherwise inevitable crash. Either that or eventually Tesla drops to ~$50/share, but since that would hurt the Musk ego, the buyout is the much more likely outcome.
  • TheAlchemist 8mo ago
    Unfortunately, we will only find out once the house of cards collapses.
  • marcosdumay 8mo ago
    People expected something like that to happen, so only the few most naive people waited for the news to sell. As a result, people that would sell because of that sold already. On the other hand, after those few people sell, the stock won't fall anymore, so the people that were waiting for it to stop falling before they buy make their move. That's very common, but not reliable for you to make a profit on it. And anyway, those short-term changes are mostly meaningless.
  • JKCalhoun 8mo ago
    The entire market feels like some kind of musical chairs. Sit down too soon and you miss out on the up, up, up!
• ahartmetz 8mo ago
  I think I have figured out the system. Literally any news about Tesla (only bad news recently) -> Tesla stock rises.